Washington, DC, April 10, 2015 --(PR.com
)-- A study commissioned by the Propane Education & Research Council and prepared by ICF International shows the propane industry contributed $38.7 billion to U.S. gross domestic product and employed 49,721 domestic workers in 2012, the most recent year data was available.
The report, “Impact of the U.S. Consumer Propane Industry on U.S. and State Economies in 2012,” aggregates gross domestic product values, as well as the contribution of the odorized propane industry to employment and wages on a national and state-by-state level. Previous iterations of the report were released in 2004 and in 2011.
Data from the latest report shows the U.S. is now the leading producer of propane worldwide and contributes 20 percent of the global propane supply.
“As the supply of propane produced from domestic natural gas and oil has increased, our industry has become an even more important contributor to the U.S. economy,” said Roy Willis, PERC president and CEO. “The production and use of American-made propane results in more jobs, a stronger GDP, and a clean, reliable energy source for millions of households and businesses.”
Growing Propane Use
More than 50 percent of propane sales are attributed to residential uses, such as space heating, cooking, and clothes drying. Americans use 8.9 billion gallons of propane each year and over 5.5 million American households depend on propane for their primary space heating fuel.
Propane use saw its greatest gains, however, in new applications as the fuel is increasingly used to power agricultural and commercial equipment for irrigation, landscaping, and transportation. In 2012, the propane industry directly served over 800,000 commercial customers, nearly 200,000 industrial customers, and over 300,000 agricultural customers.
To encourage businesses and homeowners to adopt new, energy-efficient propane equipment and appliances, PERC is currently offering incentives. For a list of current incentives, please visit propane.com/incentive-programs.
Propane Impact on State Economies
The report collected data on each state’s propane production, sales, employment, and contribution to state economy. Texas, Louisiana, and Oklahoma were identified as the top propane-producing states. California has the greatest number of propane-heated households nationwide. Texas, California, and Louisiana had the highest direct propane employment rates, and Texas’ propane industry was found to contribute nearly $8 billion to state GDP.
To access the full economic impact report from ICF International, or to view state-by-state level data, visit www.npga.org/custom/congressional_staff_2012/. To learn more about propane and its uses, please visit propane.com.